I don't have problems with the browser on the 2007HE after installing skype, i guess something else is the source of your troubles.

You can change the browser if you modify a setting in .browser file in your user directory.

engine=microb
or
engine=opera

Did you update MicroB from the Application Manager? There is listed an update for it and i'm not sure it will work after this update since MicroB installation comes mainly from the OS2006 packages (i think).